Is Bitewei the new Bitmain rival? Know all about the $20 million Bitcoin miner
The China-based crypto mining giant, Bitmain, is going through a lot lately. Bitmain was supposed to launch initial public offering (IPO) in September but the news wasn’t taken positively by all. On social media, several allegations started emerging, stating that they’re presenting a fancy outlook but lacks finances. Unfortunately, the series of reports has resulted in withdrawing of funds by investors. Now, there seems to be a new competitor & well-capitalized – Bitewei.
Bitewei is a Shenzhen-based chip mining manufacturer, established by Yang Zuoxing – former director of Bitmain. He has already raised about 140 million yuan (approximately $20 million), CoinDesk reported.
The Bixin COO, Tyler Xiong, who was part of the initial investment with Bitewei called the company’s Whatsminer line of mining chips “a game changer.” Since 2016, the chip manufacturer, Bitewei, is around and many consider as one of the most efficient types of hardware.
Moreover, due to all positive reports, they so-far received over 1,000 units of Whatsminer on pre-order. The product will not be launched before September 19, but the pre-sale started in August. Each of the mining chip costs around $1,600, but based on shipping batch, there are variations, which means that the chips could bring a revenue of more than $1.6 million easily.
The CEO of Obelisk, David Vorick, believes that Bitewei is succeeding and thriving proves that there is competition. He said,“There should be a lot more players in the bitcoin mining space and a lot more manufacturers, especially if we can figure out everything that Whatsminer is doing to get the efficiency gains that they’ve been getting.”
Vorick is bullish in his belief in the Bitewei’s competitive edge, especially when compared with other startups in the industry. Xiong also said,“It takes a lot, luck included, for a company to grow to that size and influence. It is hard for a new hardware company to get that influence now. Besides, there are only 4 million bitcoins left to mine.”
Image via Shutterstock
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